It was mentioned on some of the paid boards that Skyworks is getting shorted more often.
That makes me hope for a short squeeze in 2016…
Karen
Hi Karen, can you explain why you are expecting a short squeeze?
I bought it at 96 and wondering whether to add or not
usha
ushats: Hi Karen, can you explain why you are expecting a short squeeze?
I bought it at 96 and wondering whether to add or not
Shares Short (as of 12/15/2015) 13.38 Mil (or about 7% of float, and actually down by about 8% from the month before). IOW, zero chance of a short squeeze anytime soon.
2 Likes
Hi Usha,
I am not expecting a short squeeze, but it is a possibility. While Skyworks is going through a lot of volatility, positive news or a positive earnings report might help the stock price bounce back a little.
Thinking longer term (3 - 5 years), all the people who have borrowed and sold shares to short them will need to buy and return the shares they borrowed. A short squeeze happens when prices rise and there is a rush to covered borrowed shares, and that activity in itself pushes the price higher.
The market is wobbly now, and it’s hard to say what will happen in the short term. I can’t make any suggestions for what you should do with your shares or your purchases, but take your time and make sure you feel 100% confident in your choice.
Best wishes!
Karen
TD Ameritrade (AMTD) ticker guide
Long SWKS (see all my positions in my profile)